* The Courthouse Hotel Case Study –
2. Background Information on the Courthouse Hotelp.4
3. Internal and external drivers for change p.5-6 –PEST and SWOT 4. The Courthouse Hotel: nature of change p.7
5. Reactions to changep.8-9
6. One approach to change management: p. 10- 12 The Courthouse Hotel
An environment in which change may be the only constant is a challenge to every organisation and manager alike (Hayes, 2007). The need and pressure for change being consistent, it is crucial to the success of a company to recognize the need for and manage it effectively in order to make change ‘a more welcoming concept’ (Cameron & Green, 2007, p. 2). Defining change management is difficult. Many academics emphasize that there is not one, sole definition. In this report the role of change management will be defined as the process of ‘modifying or transforming organisations in order to maintain or improve their effectiveness’ (Hayes, 2007, p.13). The processes of change management will be illustrated using the case study of the Courthouse Hotel and will examine various key areas of approach and management of change. Looking at the organisational background and the environment, internal as well as external, it will then proceed to examine the nature of change the hotel is faced with using a positioning model for illustrative purposes. As change may not always been seen as positive, different reactions to change will be considered and, lastly, a strategy will be recommended and explained to further develop an understanding of how to manage change in an organisation effectively.
Background Information on the Courthouse Hotel
Once being one of the major hotels in a large city, the Courthouse Hotel has lost its competitive edge. As business tourism is increasing and the demand of customers for high standard accommodation is rising, the new owner has recognized the need for change within organization, by re-creating the organization, in order to reestablish the hotel in the market. The underlying rationale for the various steps that will be undertaken is the opening of a new convention centre within walking distance from the hotel. When looking at the analysis above one can see that the Courthouse Hotel has the assets it needs to take full advantage of the opportunities that it is presented with if it can change efficiently and effectively, thereby reducing its weaknesses and managing future threats.
Internal and external drivers for change
PEST and SWOT analysis
Analysing the driver for change can be very time consuming and complex. External drivers may be the role of the state, social pressures, constraints from suppliers, competitor behaviour, stakeholder demands or customer needs. Internal drivers consist of factors such as organisational growth, managerial aspirations, redesign of jobs and restructuring of organisational assets (Senior & Fleming, 2006). The external rivers for change may be examined through a PEST analysis (CIPD, 2008) and the information gathered would then be fed into a SWOT analysis in order to assess opportunities and threats in the future. However, findings will only act as guidelines upon which managers make decisions (Chermack & Kasshanna, 2007).
Strengths: * Location in the city centre * Capacity of hotel * Experienced staff * Main clientele: business travellers, a wealthy and increasing market| Opportunities: * Opening of new convention centre in walking distance * Accommodation of the German government delegation * Large scale positive publicity if standards are raised and kept * 60% raise in trade travel expected| Weaknesses: * Low standard in regard to customer service, quality of food and...